are canadian ebay sales on ebay.com considered to be foreign income ?

[bogdan.r]

Long story short; instead of adding my ebay net profit (loss) for 2016 in the form T2125 like all the previous years I've added it to the line 130 "Other income".   

Looks like CRA doesn't like it and they've sent me an additional questionnaire about the source of this income .  I will provide answer to all the questions they ask but along the lines there is a question which baffled me;   " Is this foreign income " ? I never added foreign income whenever i filled my taxes since I think the sales are regulated through the Canadian and by the PayPal platform however I guess they are considered foreign income ??? 

Thoughts ? 

has anyone dealed with a similar situation ? 

[pjcdn2005 · Accepted solution]

Not it’s not considered foreign income.  I found this definition online.....

The amount of income earned from a foreign source that is excludable from domestic taxation. The foreign earned income exclusion can only be claimed by those who meet the foreign residence or physical presence tests, who have a tax home in a foreign country, and have foreign income.